Auxly Cannabis Group Inc (CBWTF)

[Spetty772002]

OK so I understand the arbitrage concept on the convertible notes, but I don't understand the arbitrage on the warrants. The warrant holders are going to execute them at the price regardless of the current share price (assuming it's above $1.20) so why are the warrants acting as an anchor? For the convertible notes, the purchasers of the notes want to lock their guaranteed 6% until they convert to common shares, but it would seem that the warrant holders would want the price as much above $1.20 US as possible so if they wanted to, they could exercise at $1.20 and sell immediately for a higher price if they wanted. I guess there's probably something I'm not thinking about or looking at from the wrong perspective, just not sure what it is....can anyone explain?